Moody’s — Indian fintech payment firms will
face challenges extending payment dominance to other segments
Singapore, March 17, 2022 —
» Companies’ dominance over banks in digital payments may not lead to competitive advantages,
because the network currently used for transactions levels the playing field for all firms
» India’s major banks are also intensifying the competition by significantly expanding their digital
Fintech payment companies in India have led the rapid growth of digital payments in the country, but
their dominance may not translate to competitive advantages to expand into other financial services.
In addition, India’s major banks have significantly beefed up their digital product offerings and can
withstand the competition from fintechs, according to a new report by Moody’s Investors Service.
Privately owned fintechs have spearheaded the creation and growth of digital payments in India,
particularly with the introduction of the Unified Payment Interface (UPI) in 2017 that allowed funds to